Mr John Magnier and Mr JP McManus last night rejected attempts by Manchester United to settle the rift between its largest shareholders and club manager Sir Alex Ferguson.
The club yesterday announced that it was to conduct an internal review of all transfer dealings over the past five years after questions were raised about alleged conflicts of interest in the handling of players' transfers. The move was in response to demands for more transparency and better corporate governance at the club from Cubic Expression, through which Mr McManus and Mr Magnier hold their 25 per cent stake.
However, they feel the review, which will be conducted by Manchester United's group finance director, Mr Nick Humby, does not go far enough. They are also perturbed that their demand that the manager, Sir Alex Ferguson, only be offered a one-year rolling contract has not been heeded.
The club said yesterday it expected to sign a new contract with Sir Alex, believed to be for four years, "imminently".
At the weekend, Cubic Expression said it would force an extraordinary general meeting if it was not satisfied with the measures United took. Last night, that course of action seemed just as likely.
For weeks, newspapers have questioned big transfers involving the club. The amounts paid to agents have been highlighted and there have been suggestions that some of the agents have connections to the Elite management company, part-owned by Mr Jason Ferguson, the son of Sir Alex.
The club also promised yesterday that it would put into place a number of other measures to increase financial transparency, such as revealing all details relating to transfers.
Mr Magnier and Mr McManus are unhappy that they have not received a reply to 63 questions relating to corporate governance they submitted to the United board. A source close to them said: "The inquiry announced by the club is not enough and as yet, the major shareholders in United have still not received clarification over the issues they have raised. United have done nothing to alleviate the concerns of its main shareholder."
United officials are hoping to meet Mr Magnier and Mr McManus soon but the two men insist that until their questions are answered they will not sit down with members of the board.
Mr Magnier and Mr McManus have been involved in a legal battle with Sir Alex over the stud fees to the stallion Rock of Gibraltar. United's statement said Sir Alex was not involved in financial and contractual issues with players. - (Guardian Service)